The Affordable Care Act (ACA) has ushered in major changes in workforce planning and management for numbers of employers. Because continued changes in the regulations and for your employees are inevitable, maintaining compliance will become increasingly challenging and complex.
CA labor laws can be complex. Navigating through the regulatory maze as part of your regular payroll management functions can be confusing and frustrating for both the employer and employee.
A recent survey from SCORE, a nonprofit association dedicated to helping small businesses, provided statistics on how much time and money small businesses spend each year for their accounting and tax filing preparation and on their payroll management each month.
How you manage payroll may be one of the most critical operations of your business. And effective payroll management can be a challenge even with the best software. Why? Because it requires more than a software solution to implement efficient, accurate, and cost-effective processes.
Navigating the FUTA Credit Reductions
Normally, the standard Federal Unemployment Tax Act (FUTA) rate for employers is 6 percent on the first $7,000 of covered wages. And employers generally receive a FUTA credit reduction of 5.4 percent for any state unemployment insurance (UI) taxes they must pay. This reduces the FUTA rate for most of these employers to 0.6 percent of the wages paid - up to a limit of $7,000 per worker - or $42 per employee per year.
American employees – along with many of their employers – give over $4 billion dollars annually to charitable and non-profit organizations. It is very likely that, if you work with a corporation or for the federal government, you’ve been involved in one of these programs.
Updates from the IRS - New 2015 Limits
Update #1: Social Security Wage Base: Wages are taxed up to $118,500 for FICA in year 2015 (up from $117,000 in 2014). The 2015 rates for FICA (6.2%) and Medicare (1.45%) remain unchanged from 2014.
Update #2: Funding 2015 Retirement Plans:
Funding limits for employee payroll contributions to various types of "qualified" retirement plans during 2015 are as follows:
Topics: payroll management
When it comes to managed payroll services California employers are best served by using California payroll services. While this may seem elementary to some HR professionals, there can be a tendency to view all payroll management services as the same.
Timekeeping really should be simple and affordable. For many smaller businesses, however, this isn't always the case. It may start that way, but as employees are added and the business grows, the manual methods of recording, tracking, and reporting can become overwhelming. The answer for many of these businesses often involves investing in time clock software.